Johnathan Paoli
First National Bank (FNB) has announced the partial limitation on former president Jacob Zuma’s accounts following legal action by liquidators of the VBS bank over an outstanding loan.
FNB issued a statement on Wednesday and said the account was not completely frozen, as incoming payments would still be possible.
However, the bank said any outgoing payments would be halted until the complete repayment of the outstanding amount.
“This instruction from the court results from the process currently being managed by the VBS Bank liquidators, and FNB was legally required to comply. Former President Zuma’s recourse now lies with the courts and VBS liquidators,” FNB said.
The writ of execution issued by the court, was served on FNB on 29 February this year, and said that the amount to be realised from the attached accounts is R2.9 million with interest at the rate of 10.25% a year to be calculated from 31 August 2019 to date of final payment.
In August 2022, the Pietermaritzburg High Court ordered Zuma to pay R6.5-million with interest at the rate of 10.5% calculated from 31 August 2019 to date of final payment.
In 2016, the Constitutional court found that Zuma had acted against the constitution by using millions worth of state funds to refurbish his rural Nkandla home in the name of “security upgrades”.
The MK party has condemned the court order and said it believes the move is politically motivated, saying the decision was only taken after Zuma announced his decision to back MK ahead of the elections.
MK Party spokesperson Nhlamulo Ndhlela said FNB could have closed any accounts but chose the one in which Zuma’s pension is paid.
“Everything, as you can see, points to exactly that, and you know where it’s coming from. They’re trying to punish President Zuma as they always do but the resounding response that we are getting from the people will not silence us, nor the people,” Ndhlela said.
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